FBR's Confidence in MYR Group (NASDAQ:MYRG) Growing

Until there's more visibility, FBR Capital says they're not going to change their estimates on MYR Group (NASDAQ:MYRG) for 2011, but their confidence in the company is growing and they say they anticipate the probability of raising estimates going forward.

FBR said, "We are not changing our 2011 estimates until we have greater accuracy to forecast the project start dates. However, we note that our confidence is higher now and believe there is a high likelihood for an upward revision to our 2011 projections. As such, given the improved visibility over the next few years and the potential for additional awards near term, we are raising our price target to $25, or 10x 2011 EV/EBITDA, and believe the shares could reach $30, or 12x EV/EBITDA, if backlog grows further."

FBR Capital reiterates an "Outperform" on MYR Group, which closed Tuesday at $21.80, up $2.01, or 10.16 percent. FBR raised their price target on them from $22 to $25.